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Discuss and Explain the Concepts of the Federal Deficit and the National

question 82

Essay

Discuss and explain the concepts of the federal deficit and the national debt. How statistically
Jsignificant are they for the United States as compared to other countries? Explain how the deficits and the debt arise.


Definitions:

Operating Net Cash Flow

The amount of cash generated by a company’s normal business operations over a specific period.

Profitable New Plant

A profitable new plant refers to a newly established manufacturing or production facility that generates earnings in excess of its operating and capital costs.

Long-Term Debt

A type of loan or borrowing that is due for repayment in more than one year.

Tax System

A tax system is the structured framework within which taxes are imposed on individuals, corporations, goods, and services by a government entity.

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